Your base years are the years after 1950 up to the year of the
first month you become entitled to retirement or disability insurance
benefits. For a survivor's claim, the base years include the year
of the worker's death. A year wholly contained in a period of disability
is not included in the base years. Years partially within a period
of disability are included.

Example: Mr. Clifford applied for retirement
insurance benefits in October 1995. He is found entitled to a reduced
benefit beginning October 1995, the month in which he is age 62 throughout
the month. His base years for purposes of the initial computation
of his benefit rate are the years 1951 through 1994, the year before
the year in which he became entitled to benefits (1995). Since the
elapsed years are 40 (1955 through 1994, the year before he attains
age 62), the computation years are 35 (40 minus 5). To find the PIA,
the earnings are averaged over the 35 highest of the base years 1951
through 1994 after the earnings are indexed. Mr. Clifford's PIA may
be recomputed to take into account any earnings he had in 1995. This
increase, if any, in his retirement insurance benefit will be effective
January 1996. (See §722.)